Indonesia $7.3B Debt for an Archaic Train

At least one passenger is thrilled that a high-speed train that began operating earlier this month has reduced train travel times from Bandung to Jakarta, Indonesia, from 3 hours to 44 minutes. The rail line uses Chinese technology and was financed by China under that country’s belt-and-road initiative.

Indonesia’s high-speed train on a test run before the October 2 inauguration. Photo by Muhammad Bintang Nurandi Putra.

Although the train has a top speed of 210 miles per hour, the rail distance between the two cities is only 88 miles, so the average speed is only 120 miles per hour. The rail line cost $7.3 billion, which was $1.2 billion more than the original projection. At $83 million per mile, that’s comparable to the cost of the high-speed rail line being built in California, thus defying arguments that high-speed rail can be built at a much lower cost. Continue reading